Preferred equity where the Issuer is obliged to redeem the security on specific date at a pre-agreed price. This class of stock often has warrants accompanying the stock which enable the Investor to exercise into common shares that represents a shareholding in the Issuer equal to the redeemable stock and which are exercisable for a nominal amount. Term is pertinent only to equity offerings.
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by bsmith@carofin.com | Mar 8, 2019